Assessing the Impact of Human Capital on Business Model Innovation in the Egyptian General Authority for Tourism Promotion

Abstract

The business environment is constantly changing and evolving. It is full of variables and challenges that significantly influence the organizational performance. Human capital (HC) is one of these variables; it belongs to employees and consists of individuals' knowledge, skills, education, working experience, and abilities. Another variable that emerged in the 1990s is business model innovation (BMI); it reflects the ability to manage all operations with more creativity, it has three dimensions: value creation, value proposition, and value capture. This study aims to broaden the current understanding of the relationship between HC and BMI in the tourism industry and to identify the impact of HC on BMI in the Central Department for International Tourism (CDIT) in the Egyptian General Authority for Tourism Promotion (EGATP) particularly. To achieve the objectives of the study, the researchers proposed a model to explore the relationship between HC dimensions and BMI dimensions and to measure the impact of HC dimensions on BMI dimensions as well. An online questionnaire was distributed to the employees of the CDIT. The number of valid questionnaire forms is 36. The data was analyzed using SPSS 25. The results confirmed the significant relationship between the five dimensions of HC and the three dimensions of BMI in CDIT. Additionally, employees' experience and skills are the most influencing factors on value creation, value proposition and value capture.